How Do Family Firms Manage Risky Situations? An Organizational Resilience Perspective

Abstract

Nowadays, family firms account for a large part of the economy all around the world. Their longevity supposes that their unique characteristics make them efficient at managing risks in turbulent times. Drawing upon the concept of organisational resilience, this article proposes to theoretically investigate how the unique nature of family firms affects absorption, renewal and learning capacities. Based on these reflexions, this article proposes that the family character of the firm is positively related to absorption and learning capacities while being negatively linked with renewal capacity. It also stresses the importance to consider a contingency framework to better understand organizational resilience within family firms. Finally, it provides directions for future research to address various empirical gaps in the field.